Bill > SF505

This bill establishes a comprehensive firsthome program administered by the Iowa Finance Authority to help first-time homebuyers purchase homes. The program defines a "first-time homebuyer" as someone who hasn't owned a primary residence in the past three years, certain military members, or individuals purchasing homes in targeted areas. Eligible participants must meet specific requirements, including having a household income within authority-established limits, a home purchase price within specified guidelines, a minimum credit score of 640, a debt-to-income ratio not exceeding 45%, and plans to occupy the home as a primary residence within 60 days of closing. The program offers various forms of assistance, including down payment and closing cost grants, second loans, and free title guaranty certificates, with a maximum grant amount of $10,000. Military members receive special consideration, including those who served at least 90 days of active duty during specific periods or were honorably discharged due to service-related injuries. Applicants must work with an Iowa Finance Authority participating lender and may be required to complete homebuyer education. The authority will establish detailed rules for program implementation and can allow participants to simultaneously qualify for other loan and grant programs.

Government Affairs

https://www.legis.iowa.gov/legislation/BillBook?ga=91&ba=SF505